Case StudyJuly 3, 20143 min read

Putting the right people in the right jobs

Subway

Food service employee handing over a sub

0

dollars in training savings annually

OVERVIEW

With more than 45 years in the food service franchise business, Subway is one of the most-recognized brands in the world. It’s also one of the largest restaurant chains, with more than 33,000 restaurants in 94 countries. Harold Jackson owned seven Subway locations in Ohio and employed about 100 people but was experiencing high turnover.

THE CHALLENGE

Jackson's staff roster was constantly revolving — employee turnover was around 70%. Every time the franchise lost an employee, it cost the business up to $1,000. Plus, it affected customer service, return visits and morale. Competitive pay and benefits weren't enough to keep people on staff long term.

THE APPROACH

Jackson introduced a behavioral assessment tool called Predictive Index to make sure the right people were hired into the right positions. He also defined behavioral requirements for specific roles, which helped him identify future leaders, prepare customized training and launch a succession planning initiative.

Having the right people in the right roles is having a positive impact on customer service and customer return visits. Predictive Index pays for itself.

Harold Jackson
Multi-Unit Franchisee Owner, Subway

THE RESULTS

On average, turnover dropped from 70% to 42% once Jackson started using Predictive Index. At four locations, it plummeted to 32%. Retaining staff also saved Jackson $15,000 a year in training costs. When employees are in the right roles, Jackson said they're more productive. Customer service and return visits improved, too.

0%

average reduction in turnover